CPO CSCO STRATEGY
52 ness today is fast paced , and without a strong commercial team in place , things can and will go wrong . My fear is that procurement professionals themselves will start to rely on those tools rather than vital interaction with the suppliers .”
While this relationship management role involves seeking best value while keeping loyal suppliers on board , Powell argues this needn ’ t be seen as a problem , and successful relationships can in fact allow both parties to grow together . “ I think it ’ s a perceived conflict rather than a real one ,” he explains . “ In any business , it ’ s really about creating shareholder value . Furthermore , ongoing relationships and strong SRM allow the supplier to grow , bringing innovation and creating competitive advantage for the buying organisation .”
In terms of the most vital technologies impacting supplier relations , Powell points to the advent of cloud computing . “ It ’ s made access to systems easier and cheaper . Cloud computing has been a revolution and a revelation , since it means that the big upfront investments are no longer required .”
In addition , Powell adds that data analytics is vital and is presently being underutilised . “ The skills to interpret that data are in high demand in any procurement function – and rightly . Insight into history and forecast expenditure is gold dust to anybody trying to create deals .” Using those two technological advancements , as
DECEMBER 2018